Investors Back Awakn's Psychedelic Therapies, As Company Doubles Private Placement To $2M

Awakn Life Sciences Corp. AWKNF, a company focused on the development of psychedelic therapeutics for addiction and mental health disorders, has announced an increase in the size of its ongoing private placement financing.

What Happened: Initially planned for $1 million, the offering has been expanded to $2 million, reflecting heightened investor interest and support. The company also confirmed the closing of the fourth tranche, securing an additional $394,286 through the sale of 857,143 units at $0.46 per unit, bringing the total funds raised to $1,117,142 so far.

Each unit comprises one common share and 0.75 of a warrant, allowing holders to purchase an additional share at $0.63 within five years. Proceeds from the financing will be used to support Awakn’s working capital needs as it advances its research and development, particularly focusing on its treatment for Alcohol Use Disorder (AUD).

See Also: Can CBD Help With Alcohol Use Disorder? New Scientific Review Finds There’s Something To It

Why It Matters: AUD represents a significant market, with approximately 29 million affected adults in the U.S. and 40 million in key European markets. Awakn's CEO, Anthony Tennyson, highlighted the company's commitment to addressing this substantial unmet need, stating, "Our goal is to provide breakthrough therapeutics to addiction sufferers in desperate need."

The securities issued are subject to a four-month hold period, in compliance with applicable securities regulations. Awakn has reaffirmed that this press release does not constitute an offer to sell securities in the U.S., and its securities have not been registered under the U.S. Securities Act of 1933.

Now Read: Could Psychedelics End Binge Drinking? A Breakthrough Patent Says Yes